GELEX officially lists on HSX on January 18

18/01/2018

Vietnam Electrical Equipment Joint Stock Corporation (GELEX) is officially listed 266.8 million shares on Ho Chi Minh City Stock Exchange (HSX) on January 18, 2018. The shares are traded under the security symbol GEX at a reference price of VND10,000 (44 US cents) per share. This is a significant milestone in the development of GELEX, which helps to improve the transparency and standards in the corporation’s operation and administration. In addition, being listed on HSX also helps to increase its stock liquidity, add value to shareholders, improve the corporation’s image and create favorable opportunities of mobilizing capital for investment and development.

Established in 1995, over 20 years of establishment and development, Vietnam Electrical Equipment Joint Stock Corporation has affirmed its position and reputation in the market.

After the divestment of Vietnam’s Ministry of Industry and Trade, GELEX restructured its organizational structure and operation model. The corporation gradually increased its ownership in subsidiaries such as CADIVI, THIBIDI, SOTRANS and VIHEM…, and expanded investment into other potential businesses. Currently, GELEX has eight subsidiaries and one associated company, operating under the corporation model in the fields of industry, infrastructure, logistics, real estate and investment. Of these, industry is the traditional sector and also the strength of GELEX, accounting for some 70 per cent of the total revenue.

As regards the industry sector, GELEX currently manufactures and supplies comprehensive products of electrical equipment, focusing on four major product groups, including electrical wires and cables, transformers, electrical motors and electric measuring equipment. For each group of products, GELEX has affirmed its reputation in the market with energy-saving and environmentally-friendly features.

Electrical wires and cables manufactured by CADIVI, a subsidiary of GELEX, own 79.76% of capital and is a 40-year-old brand of electrical wires whose quality has earned customers’ trust

CADIVI is currently ranked as the top brand in Viet Nam for manufacturing electric wires and cables with more than 40 years of establishment and development. The quality of these products is trusted by a number of consumers for many years.

THIBIDI is also Viet Nam's leading brand in producing transformers, with a good reputation in domestic and foreign markets. THIBIDI has won the National Quality Award and the Asia-Pacific Global Performance Excellence Awards in 2016.

Electric measuring equipment is manufactured by GELEX EMIC, a wholly-owned subsidiary of GELEX. It is a leading company in the field of electric measuring equipment and is a major supplier to the Vietnam Electricity Corporation with intelligent electronic products.

The production and repairing activities of single phase and three phase non-synchronous engines are operated by two subsidiaries of GELEX, including HEM and VIHEM, which have also proved their prestige in the market.

            In terms of infrastructure, GELEX focuses on power generation and clean water production and trading. In particular, the corporation places special attention on generating power from clean energy or renewable energy, and production and trading of clean water from surface water in order to supply quality water to the market.

            In the field of logistics, SOTRANS provides a closed logistics service chain with four main groups of services, including warehouse operations, delivery and inland transportation, including overweight cargo transportation, international shipping and port operations. Currently, SOTRANS's delivery network is at the top in Viet Nam. Especially in the field of overweight cargo transportation, VIETRANSTIMEX, a member of SOTRANS, is currently ranked No.1 in Southeast Asia and is among the top 50 in the world. In addition, SOTRANS has a strong agent network in different continents in international shipping and is in the list of top five partners of Vietnam Airlines for air transportation. SOTRANS and its subsidiaries manage more than 50ha of port systems in strategic locations of the logistics industry and 230,000sq.m of warehouses nationwide. SOTRANS aims at reaching the top three largest logistics enterprises in Viet Nam.

            In terms of real estate, GELEX focuses on exploiting the existing land funds of the units in the whole system, towards the direction of focusing on developing hotels, offices, retail and industrial real estate (factory, warehouses, yards).

In the field of investment, GELEX focuses on M&A activities of leading companies in the field of industrial production and logistics, especially investing in strong branded businesses with good human resources and stable money. GELEX is always looking for investment opportunities to own national branded enterprises because GELEX believes that preserving the national brand not only brings about economic benefits but also national pride.

Not stopping at the domestic market, GELEX is keen to step into the global arena. Currently, GELEX is promoting sales channels to the United States, Cambodia, Myanmar and approaching Australia and Japan markets.

In addition to boosting production and taking care of employees, GELEX also focuses on social welfare and community activities. In 2017, GELEX was the main sponsor of the project "Tam Thanh Tourism Development with community participation" and raised funds for the Tam Thanh Community Development Fund, sponsoring the construction of a kitchen for Pinang Tac Ethnic Boarding School in Bac Ai District, Ninh Thuan Province, in order to ensure that teachers and students have better living conditions and to support the policy on school strengthening. In the upcoming years, GELEX will implement social activities in the education sector.

With its unremitting efforts, GELEX has gradually increased its production capacity and sustainable development. The business results of GELEX in the 2015-17 period are specified as follows:

- The average revenue growth reached 24.5 per cent per year, increasing from VND8.383 trillion in 2015 to an estimated VND13 trillion in 2017

- Before-tax profit was on an average 63.5 per cent annually, up from VND574 billion in 2015 to an estimated VND1.53 trillion in 2017

- Number of labourers and average income per capita increased by 13.5 per cent and 23.9 per cent per year, respectively

- The increase in contribution to the State budget was 65 per cent per year, up from VND289 billion in 2015 to VND787 billion in 2017.

In 2018, GELEX targets a total revenue of VND14.43 trillion and profit before tax of VND1.61 trillion.

Thanks to its achievements, GELEX has been honored by the Party and the State with many prestigious prizes and titles, such as the Third Class Medal of Independence in 2015, National Brand in 2015 and 2016 and the Emulation Flag presented by the Prime Minister.

With a strategy of sustainable development and a determination that strength comes from prestige, GELEX is proud to be a Vietnamese enterprise owning leading brands in the fields of industrial production and logistics, and looks forward to become a leading multi-sector corporation in Viet Nam.